0 a person or a financial company that acts both as a broker, making investments for customers, and as a dealer making investments for themselves: --
We are one of the country's leading broker-dealers, supporting independent investment advisors nationwide.
The net capital in the form of liquid assets of the broker-dealer, however, was not required to be separately escrowed for the exclusive benefit of customers.
Each broker-dealer was required to issue an early warning if its net capital dropped to less than 120% of the broker-dealer's absolute dollar minimum requirement.
Upon providing such notice, a broker-dealer would become subject to closer supervision and would be prohibited from making capital distributions.
The broker-dealer adds to this total the amount of any qualifying subordinated debt it owes.
The company is not a registered broker-dealer and thus is not involved in the transfer of funds.
At that level, a broker-dealer is prohibited from distributing excess capital to its owner.
Madoff operated as a broker-dealer who also ran an asset management division.
The broker-dealer community quickly institutionalized, as a standard practice, the conducting of due diligence investigations of any stock offerings in which they involved themselves.
